1 Improving Health and Health Care in Greater Cincinnati through Data Transparency Dr. Richard Shonk, Chief Medical Officer Greater Cincinnati Health Council The Health Collaborative HealthBridge Who We Are Neutral forum for all stakeholders Those providing health care Those receiving health care Those paying health care Unique Collaboration Health Systems Health Plans Employers 7,500 CONNECTED PHYSICIANS Cooperation Health systems, health plans and employers have a 21 year history of cooperation. Quality Currently leading successful QI initiatives in physician offices and in the hospital setting. Infrastructure Capacity to securely collect and manage health data files. Soon be receiving Medicare Data Greater Cincinnati is one of the nation’s most connected health care communities with 7,500 connected physicians and a high adoption of electronic medical records. We are ahead of most other US cities in this regard. Vision To inspire breakthroughs in transforming health and health care Greater Cincinnati: Leading with National Distinction The only community in America with this unique array of improvement programs and infrastructure. Quality Improvement Payment Realignment Data Collection & Public Reporting ONC Beacon Community CMS Comprehensive Primary Care Initiative RWJF Aligning Forces for Quality Health IT & Exchange Services Population Health & Consumer Engagement Collective Impact ONC Regional on Health; Extension Center YourHealthMatters 6 Leveraging the Investment Goal: Better Health, Better Care, Lower Cost What is needed? • Transformation expertise • Coordination of resources • Multi-stakeholder relationships • IT connectivity and data exchange • Tracking quality, cost, satisfaction, utilization • Public reporting of results 7 Vision vs. Reality Fee for Service Pay for Value - BARRIER - Payers Lack Clinical Quality Data Providers Lack Cost Data Patients Lack Both 8 How do we address the challenges? We are working across the region on common issues Shared Community Agenda Payment Realignment Greater Cincinnati 1 of only 7 75 practices and 261 providers Multi- payer: 9 health plans + Medicare 300,000 estimated commercial, Medicaid and Medicare enrollees chosen sites nationally 65 miles from Williamstown, KY to Piqua, OH Cincinnati/Dayton/Northern Kentucky CPC Market 75 Practices: • ~2/3 System affiliated • ~1/3 Independent Quality & Data Transparency: •71% Public Reporting Initiative •49% NCQA PCMH recognition •25% 2008 standards •24% 2011 standards •90% attested for MU Stage 1 EHRs: •Epic-59% •AllScripts-23% •Athena-13% •McKesson-3% •NextGen-1% •Amazing Charts-1% 12 Cincinnati/Dayton/Northern Kentucky CPC Market • 11 Payers • Amerigroup (Ohio only) • CareSource (Ohio only) • Centene Corporation (Ohio only) • Ohio Medicaid within the Ohio Department of Job and Family Services • CMS - Medicare “fee for service” • Aetna • Anthem Blue Cross Blue Shield of Ohio • Humana • HealthSpan • Medical Mutual • UnitedHealthcare • Estimated 44,500 Medicare beneficiaries • Estimated 250,000 Commercial, Medicaid, and Medicare Advantage 13 Cincinnati/Dayton/Northern Kentucky CPC – Quality Measures Quality Metrics: • 21 NQF endorsed measures • 2 patient experience (CG-CAHPS) • 3 care utilization (Claims) • 6 preventive health/ screenings (EHR) • 10 chronic disease/ at-risk population (EHR) ( 2 metrics are deferred until 2015) • Meeting Targets (TBD) required to be eligible for shared savings and continued participation • Begin tracking one utilization and one quality metric in 2013 • Begin reporting all 19 measures to CMS in 2014 (CY 2013 as baseline) 14 CPC Payment Model Care management pmpm; “fee for service” Medicare and Ohio Medicaid beneficiaries Shared Savings (2014-2016) Care management PMPM; private health plans for commercial, MA, Medicaid lines of business YourHealthMatters.org Data Collection & Public Reporting Primary Care Providers Diabetes • Cardiovascular Health • Colon Cancer Screening Rates • Patient Experience Hospital • • • Effectiveness Patient Experience Emergency Department 17 YHM Diabetes Quality Info 18 Greater Cincinnati has 118 PatientCentered Medical Homes – one of the highest rates in the nation Consumers can search for the nearest PCMH Providers’ Early Experiences with Quality Reporting using Clinical Data Providers all thought they scored higher Sure there was a problem with the report Review of data against chart (EHR or paper) – can’t argue with your own data (at least not as much) Wanted to score better next year Beneficial for staff members to review the data before submission Especially true when one staff member assigned to provider Blanks make a great visual Awareness of data needed for quality reporting Realized they played a role in quality improvement All providers saw that an EHR is good but not enough. wanted a better way to track their patients with chronic conditions wanted tools for more frequent reporting and data for improvement 20 State Innovation Model Payers and Providers Recognize the Need for Better Data Physician Practice = New Focus of Performance Measurement Necessary for Accountable Care Data Infrastructure for Medical Home Expansion & Episode of Care Payments 21 Regional Data Aggregation Our New Challenge Need for a neutral, trusted, local source of truth - no one payor or provider has the whole picture Payment is proceeding toward “payment for value” away from “fee for service” - need a community-wide view of cost and utilization for decision support and benchmarking Consistent and continuous method to monitor progress year over year 22 Cost Transparency Trends & Impact on Greater Cincinnati What Health Care Providers Need to Know 23 Cost & Quality Variability Research is conclusive: There is tremendous inexplicable quality, cost and price variability in the US health care system. The Dartmouth Atlas team has documented substantial and persistent regional variation that cannot be explained by differences in Medicare beneficiaries’ demographic characteristics, health status nor by the quality of the health care they receive. A report by Castlight Health from June 2014 found tremendous variation in cost for common tests and imaging – even in the same city tests and imaging can differ 4-23 times in cost. Why is this such a big issue? 24 Ohio Price List Comparison: Which one would you choose if you were paying the bill? Comparison of Selected Ohio Hospital List Prices for Labor & Deliver Services Hospital/ Health System [1] Vaginal Delivery Cesarean Section Delivery TriHealth $5,532.00 $7,905.00 The Christ Hospital $6,450.00 $8,502.00 OhioHealth $4,251.00 $4,339.00 Mercy Health $4,780.50 $6,718.50 TriHealth hospital list prices available at http://www.trihealth.com/discover-trihealth/about-us/pricing/Good-Samaritan-and-Bethesda-North-Prices-EffectiveJuly-1-2014.aspx [2] The Christ Hospital list prices available at http://www.thechristhospital.com/upload/docs/Patient%20Services/BillingAndInsurance/Copy%20of%20tch%20price%20disclosure%20for%20intranet050113OP .pdf [3] OhioHealth hospital list prices are available at https://www.ohiohealth.com/uploadedfiles/ohio_health_site/tools_and_resources/patient_and_visitor_guides/ohiohealth_price_information_list.pdf [4] Mercy Health Hospital list prices available at http://www.e-mercy.com/billing-and-insurance.aspx 25 New Trends in Transparency Cost and Quality Transparency is a key feature of value-based purchasing. Better information = better decisions A number of new payer initiatives and programs are accelerating move to value-based purchasing: Reference Pricing Narrow Networks Lower out of pocket costs for patients that choose high value providers More cost and quality information available publicly 26 CMS Transparency Efforts Hospital Compare website now routinely provides on information on average hospital-specific charges per patient and average Medicare payments for the most common diagnosis-related groups (DRGs); Similar price transparency is expected for the Physician Compare website. The Physician Feedback/Value-Based Payment Modifier Program begins in January 2015 and expands over two years to cover all physicians in the US receiving payments from CMS. Under the program, CMS will increase or decrease Medicare physician payments using a value-based payment modifier. The 2016 modifier is calculated from physician performance data from two years prior in 2014. (e.g., PQRS and cost data) Qualified Entity Certification Program – Push Medicare claims data out to trusted sources for performance improvement analysis CMS’s value-based payments, cost transparency and open data efforts will continue to grow steadily in the coming years. 27 Health Benefits & Enrollment Trends Employees with high deductible benefit plans grew from 10 percent in 2006 to 38 percent overall in 2013, with the rate among small employers reaching 58 percent. Enrollment in the Federal Health Insurance Marketplace as of February 1, 2014 showed that 62 percent of enrollees had selected silver plans, 19 percent selected bronze plans, and 1 percent selected catastrophic coverage. More than 80 percent of new marketplace enrollees will face higher cost-sharing requirements, including significant deductibles. Half of exchange products feature narrow networks. More cost sharing = comparison shopping for lower cost, higher quality services. 28 Employer & Plan Trends CalPERS Reference Pricing Initiative In 2011, CalPERS implemented reference pricing for hip and knee replacements. CalPERS collected data and frequently updated a list of providers who met or beat its reference price. Steered members to higher value providers through intensive communication about provider price differences – little pushback from members – wanted to receive the information Result: saved an estimated $2.8 million for plan and an additional $300,000 for its members; CalPERS paid 30 percent less per surgery on average in 2011 compared to 2010. Caused tremendous change in market share and increase in hospital competition on price Source: J Robinson and T Brown, “Increases In Consumer Cost Sharing Redirect Patient Volumes And Reduce Hospital Prices For Orthopedic Surgery,” Health Affairs, August 2013, Vol. 32, No. 8, 1392-1397. 29 Employer & Plan Trends MRI Price Transparency Initiative • Company comparison study of MRIs in 2010 and 2012. • Looked at two subgroups based on whether their commercial insurer was participating in the MRI price transparency program. • The intervention group was informed about pricing at different facilities and given the option of selecting different providers. • Members contacted shifted from more expensive hospital-based facilities to free-standing facilities which reduced costs by $220 or by nearly 19 percent per test. • The program had the added benefit for insurers in that it sparked competition among facilities, resulting in a further 30 percent reduction in differences between hospital and non-hospital based facilities for the intervention group. Source: S Wu, G Sylwestrzak, C Shah and A DeVries, “Price Transparency For MRIs Increased Use Of Less Costly Providers And Triggered Provider Competition,” Health Affairs, August 2014 Vol. 33 No. 8 1391-1398. 30 Other Transparency Efforts The Health Care Cost Institute (HCCI) a non-partisan, non-profit organization launched in September 2011 supported by Aetna, Humana, Kaiser Permanente, and United Healthcare Aim: Create the first complete, comprehensive national claims database with information on health care utilization and costs; Analyze and report regularly to the public on national, regional, and state trends in health care spending and utilization; Promote the efforts of states to improve the functioning of their health care systems by supporting innovative activities such as all-payer claims databases and transparency initiatives; and Castlight Health founded in 2008 by Todd Park, Bryan Roberts and Giovanni Colella. Castlight’s technology enables employers to empower employees with the information Set of applications enables employers to deliver cost-effective benefits,provide medical professionals and health plans a merit-based market to showcase their services, and empower employees to make informed healthcare choices with a clear understanding of costs and likely outcomes. 31 Cost Measurement Critical challenge for providers: how to define and measure cost: Various cost methodologies are used to reward or penalize providers, define in and out of network providers and measure value. Challenges: patient attribution, calculation of cost, risk adjustment and the appropriateness of care. Some payer algorithms simply assign to a single provider all spending for a group of patients in a given time period. 32 Cost Measurement Problems can occur when cost calculations do not account for the following: Patients don’t see their care provider in the given time frame, thereby leaving out healthy, no cost patients from cost calculations, Care occurs in settings the provider has no control over, Cost categories are excluded from calculations (e.g., payer cost calculations sometimes exclude prescription drugs), Risk adjustment models only include historic information and do not take into consideration newly diagnosed health care conditions, and There is no distinction between the appropriateness or inappropriateness of services provided. 33 Cost Measurement National Quality Forum has endorsed the HealthPartners Total Cost of Care (TCOC) and Resource Use measure – TCOC includes two parts: the cost of care provided to a patient (or “Total Cost Index”) measurement of resources used in providing that care (or “Total Resource Use Index”) 34 Cost Measurement NRHI Healthcare Regional Cost Measurement and Transparency Pilot - five regional collaboratives developing standard means to measure and publicly report on total cost of care and resource use Greater Cincinnati Health Collaborative working on: Aggregating claims data from multiple payers Investigating adding cost measurement into available data sets Wedding claims and clinical data electronically for more robust understanding of cost and quality 35 What to Expect Health care providers need to plan now for a marketplace where cost and price information will be freely available to consumers, their employers and the media. Plans will increasingly use reference pricing, narrow networks in provider contract negotiations. As more information becomes available, expect: Increased market share volatility as patients are incentivized to visit higher quality, lower cost providers Tough contract negotiations with plans increased media scrutiny uncomfortable questions from policy makers (Medicaid, Medicare, state legislature, etc.) 36 Recommendations Be proactive: conduct further analysis of cost measurement and transparency and develop action strategy. Collaborate to Develop Expertise: Work with us to develop regional expertise (leveraging national relationships/experts) on Cost Transparency and Total Cost of Care Measurement. Partner on the Collection and Analysis of Cost Data: support development of a regional database with total cost measure analysis. Prioritize the development of a regional training strategy: help providers to understand and act upon cost and utilization metrics. Support public reporting of cost/value measures alongside quality information on www.YourHealthMatters.org.